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functions and property of the International Institute of Agriculture, the Centre International de Sylviculture, and the Comite International de Bois; amendments to the constitution and rules of procedure; establishment of regional offices; form of reports required from member Governments ; national and regional FAO committees and FAO publications. The ultimate site of FAO headquarters was discussed. The desirability of the head office being situated at the headquarters of United Nations was recognized, provided that the location enabled the organization effectively and economically to discharge its duties and to maintain liaison with those specialized agencies with which it is particularly concerned. Committee No. 2 considered the budget for the second financial year, the scale of contributions by member nations, and the proposed establishment of a separate committee of financial control. Some criticism was directed at the financial administration of FAO during the past year, and the Director-General was urged to make every effort to improve the financial and administrative services of the organization and, in preparing the budget for the third financial year, to conform with the provisions of the financial regulations. The Director-General reported that a competent finance officer has now been appointed to the staff, and the wishes of the Conference would be met. In addition, it was agreed that the Executive Committee, as the committee on financial control, should establish a sub-committee on finance consisting of five members, two to be appointed by the Executive Committee from among its own members, the other three to be severally appointed by three member Governments designated by the Executive Committee. Action has now been taken along these lines, and the Executive Committee is to report to the next Conference on the working of the financial regulations and the functions that can most appropriately be performed by the Executive Committee and the committee on financial control respectively. It was unanimously agreed that, in order to conform with the practice of the United Nations and to facilitate financial administration, the financial year of the Organization should be the calendar year instead of the year commencing 1 July. After long discussion, it was agreed that in order to conform with this decision the second financial year be extended by six months to cover the period 1 July, 1946, to 31 December, 1947, and that contributions be reworked accordingly. The total budget for the second financial year thus became in total 7,500,000 U.S. dollars, with a total liability for New Zealand of 64,500 dollars. It was agreed that the basis of contribution by member nations should come under review during 1947 to bring about conformity with proposals under consideration by the United Nations.